TAIPEI -- Major Taiwanese chipmakers are willing to prioritize supplies for automakers amid a global shortage of chips for the industry, the island's economics minister said after meeting with company executives.
Automakers around the world are shutting assembly lines due to the shortages, which in some cases have been exacerbated by the former U.S. administration's actions against Chinese chip factories.
"Chipmakers are willing to follow the government's request and try to support auto chips as much as they can to support production in the U.S., Europe and Japan," Economics Minister Wang Mei-hua told reporters.
The issue has become a diplomatic one, with German Economy Minister Peter Altmaier writing to Wang to ask her for help in addressing the problem. Wang also said the U.S., European Union and Japan had also been in contact.
The chipmakers are prepared to negotiate with clients of other products to see which clients are willing to delay or cut orders and will try to boost production, Wang said.
"For example, if their capacity is at 100 per cent now, they will try to raise it to 102 per cent or 103 per cent, with the extra capacity going to make auto chips," she said.